Quarterly Economic Monitor June 22

Taupō District’s economy has had a strong year, with provisional estimates from Infometrics showing the GDP has grown 1.0% in the year to June 2022, similar to national growth of 0.9%. Economic activity in the June quarter alone was 2.7% up compared to the June quarter 2021. However, despite the strong year, Taupō’s economy is facing constraints to further

growth with inflationary pressures, supply chain constraints and labour shortages squeezing economic activity.

Taupō District is still feeling the lack of international tourists, with tourism expenditure in the district over the year to June 2022 down 7.2% compared to the year earlier. Tourism expenditure levels are still slightly below their pre-pandemic levels, which suggests a lot of space for future growth in the economy as international tourists return to the country over the

coming year.

A strong dairy payout is helping to inject additional cash into the local economy, with the dairy payout for the 2021/22 season estimated to be $72 million higher than the previous season. The dairy sector is a large portion of the Taupo economy, and a strong dairy sector helps support the local economy.

Employment growth is strong in Taupō, with employment of local residents up 3.5% in the year to June 2022, growing faster than the national average of 3.2%. With good employment growth, labour market outcomes in Taupō are very strong. The unemployment rate has averaged 2.8% over the year to June 2022, creeping just above the 10-year low of 2.7% in

March 2022. Jobseeker Support recipients are down by 5.8% and slowly coming down from the peak in the year to June 2021.

House price growth in Taupō remains strong, with prices up 15% from a year earlier, however they are following the slowing trend nationally, with growth softening from its peak of 36% in September 2021. Despite the growth in prices over the past years, residential consents in Taupō have softened, with the number of consents in the year to June down 2.6% from a year


Gross Domestic Product

GDP in Taupo District was provisionally up 1% for the year to June 2022, compared to a year earlier. Growth was higher than in New Zealand (0.9%). Provisional GDP was $2,718 million in Taupo District for the year to June 2022 (2021 prices). Annual GDP growth in Taupo District peaked at 7.1% in the year to December 2021.

Consumer Spending

Electronic card consumer spending in the Taupo District as measured by Marketview, decreased by 0.5% over the year to June 2022, compared to a yaer earlier. this compares with no change in New Zealand

Tourism Expenditure

Total tourism expenditure in Taupo District decreased by 7.2% in the year to June 2022, compared to a year earlier. This compares with a decrease of 6.6% in New Zealand. Total tourism expenditure was approximately $350 million in Taupo District during the year to June 2022, which was down from $377 million a year ago.

You can read the full report below including Traffic flow, Employment, Jobseeker Support recipients, Unemployment rate, Dairy payout, Guest nights, Health enrolments, Residential consents, Non-residential consents and House values and sales.

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